February 28, 2013 | 6:30pm ET

Earlier in the day, the Flames signed O'Reilly to a two-year, $10 million offer sheet.

"This was a goal of ours from the onset, to get Ryan signed, and that goal was completed today," said Avalanche GM Greg Sherman. "With the support of our ownership, not only today but throughout this entire process, we have come to terms with Ryan O'Reilly and now we move forward as a hockey club."

O'Reilly will earn a prorated base salary of $1 million this season, and receive a $2.5 million signing bonus, and then earn $6.5 million next season.

"I can tell you given the time frame that we moved on this that it is pretty clear what our objective was in regards to that question," Sherman said. "Meeting with [Governor] Josh [Kroenke] and [Owner] Stan [Kroenke], we moved very quickly and efficiently today to go ahead and make the decision to match the offer."

Despite reports suggesting others, TFP Editor-in-Chief David Pagnotta confirmed through O'Reilly's agents that Calgary's offer sheet was the only one presented to him during this process.

Colorado selected O'Reilly during the 2009 Entry Draft with its second round pick (33rd overall). He had played in 236 NHL games since the start of the 2009-10 season.

O'Reilly has suffered an injury while playing in the KHL earlier in the season, but has fully recovered and is expected to join the Avs on their upcoming three-game roadtrip.